Carter and Isabella run a carwash business. They split the revenue 50/50. They are deciding on if they should join forces with Carla's carwash.If they join with Carla, the combined carwash will make $2400 more per month, but they'll have to split revenue equally (33.3/33.3/33.3).On an average month, Carter and Isabella's carwash makes $6000.How much more or less would Carter or Isabella individually make if they merged with Carla's carwash?
Question
Carter and Isabella run a carwash business. They split the revenue 50/50. They are deciding on if they should join forces with Carla's carwash.If they join with Carla, the combined carwash will make 6000.How much more or less would Carter or Isabella individually make if they merged with Carla's carwash?
Solution
Sure, let's break it down step by step.
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Current Revenue for Carter and Isabella:
- Carter and Isabella's carwash makes $6000 per month.
- They split the revenue 50/50.
- So, each of them currently makes 3000 per month.
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Revenue After Merging with Carla:
- The combined carwash will make $2400 more per month.
- So, the new total revenue will be 2400 = $8400 per month.
- They will split the revenue equally among the three (Carter, Isabella, and Carla), which means each will get 33.3% of the total revenue.
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Calculating Individual Revenue After Merging:
- Each person's share will be 33.3% of $8400.
- This can be calculated as 8400 * 0.333 = $2797.20 per month.
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Comparing the Revenue:
- Currently, Carter and Isabella each make $3000 per month.
- After merging, each will make $2797.20 per month.
- The difference is 2797.20 = $202.80.
-
Conclusion:
- Carter or Isabella would individually make $202.80 less per month if they merged with Carla's carwash.
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